XRP’s funding level decreased after the price reached its peak in 2025 above 2025, and this trend continued into the new year. Between February and March 2026, the XRP funding rate spent most of the time in the negative, indicating how investors currently view cryptocurrencies. Cryptoinsightuk analyst points this out in a recent X post and hints at what this could mean for digital assets in the future.
XRP funding rate has not been this low since 2022
Cryptoinsightuk’s post highlights the interesting trend of XRP, showing that in the last 39 days, 31 days have been spent with a negative funding rate. This means that only a few days in February the funding level was positive. And now, March seems to be following the same trend.
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This post also covers other times an altcoin has seen a similar trend and what ultimately happened. The most recent of these was in 2025, when the funding rate spent the better part of March and April in the negative.
However, what followed was a massive XRP price rally that eventually led to levels not seen since 2018. While this did not push XRP price to new annual highs, it did push it to new annual highs, a rally that surprised investors.
Going back in time, the crypto analyst notes that another period where a similar trend was observed was in 2022. This happened with the collapse of the crypto exchange FTX, as the market was overwhelmed by negative news. However, in the end, this trend will be the bottom of XRP and the price will start to rise in the next year.
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Based on the previous shows, it is possible that the same trend will show the bottom again here. If that happens, it won’t be long before the price of XRP goes up again. In addition, such low funding rates indicate that more traders are short and this is a good time for compensation.
Funding rate isn’t the only metric that has suffered, according to Coinglass. The open interest of XRP has also declined since 2025, indicating that traders are not participating in the market as much as before. Daily trading volume also suffered, falling to $4 billion from a peak of $78.85 billion at the end of 2024 at the time of this report.
Featured image from Dall.E, chart from TradingView.com
